17 questions tailored to Crunch Franchising, LLC's 2026 FDD data. 3 are flagged as high priority based on disclosures in the document.
Use these questions during your discovery day, franchisee validation calls, and attorney review. Questions marked High Priority are tied to specific disclosures in the 2026 FDD and should not be skipped. Print or copy this list before any franchisor meeting.
Investment, earnings, fees, and break-even analysis
3 questions
What is the typical timeline to break even on the $2.1M - $5.4M total investment, and what assumptions drive that estimate?
High Priority
How does the Item 19 data in the 2026 FDD compare to your best- and worst-performing locations, and what operational differences explain that gap?
High Priority
The royalty rate is 5.0%. Is that applied to gross revenue or net revenue, and are there any volume tiers that reduce the rate over time?
Agreement terms, litigation, renewal, and exit
4 questions
Item 3 discloses 2 litigation cases. Can you walk me through each matter — what was the nature of the dispute, and how was it or how is it expected to be resolved?
High Priority
The franchise agreement is 10 years. What are the conditions under which you can terminate the agreement early, and what recourse does the franchisee have?
What restrictions does the franchise agreement place on selling or transferring my franchise — including the right of first refusal and any transfer approval process?
There is a $15K renewal fee at the end of the term. What conditions must be met to qualify for renewal, and can the franchisor require a location upgrade as a condition?
Day-to-day running, staffing, and supply chain
3 questions
Owner-operator participation is required. What does day-to-day involvement look like in year one versus year three, and what is the path to a semi-absentee model if one exists?
What does the ramp-up period look like for a new location — how long before most franchisees reach steady-state volume, and what are the most common operational mistakes in that window?
Are franchisees required to purchase supplies or inventory exclusively through approved vendors, and how do those prices compare to open-market alternatives?
Protection, boundaries, and encroachment
2 questions
How is my exclusive territory defined, what triggers a territory review, and under what circumstances can the franchisor modify its boundaries?
Does my territory protection extend to online and digital channels — including third-party delivery platforms — or is it limited to physical storefronts?
Onboarding, field support, technology, and marketing
5 questions
The FDD lists 5 days of initial training. How is that split between classroom instruction and hands-on operations, and what ongoing training is available after launch?
How many franchisees does each field consultant support, how often do they visit, and what does a typical support interaction look like?
What technology systems — POS, scheduling, inventory, CRM — are part of the franchise system, and what are the associated monthly or annual fees not listed in Item 6?
Is there an active franchisee advisory council, and how much influence does it have over system-wide decisions such as menu changes, pricing, or marketing campaigns?
The 2% ad fund contribution — who controls how those funds are spent, how is ROI measured, and can franchisees audit fund expenditures?
Item 20 of the FDD lists current and former franchisees with contact information. Calling at least five to ten owners is the single most valuable step in franchise due diligence — more informative than any disclosure document.
Ask them: Are you hitting the numbers you expected? Would you do it again? What does the franchisor do well, and where do you wish you had more support?
Data shown is extracted from the 2026 Franchise Disclosure Document filed with state regulators. Fees, investment ranges, and other terms may have changed since this filing. Always request the current FDD directly from the franchisor before making any investment decisions. This information is not financial, legal, or investment advice. Full disclaimer.
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